market price

The market price is the equilibrium price that is created in a market through the interplay of supply and demand.

The market price can be represented graphically by the intersection of the supply and demand curve. By interpreting the market price, important conclusions can be drawn about the market situation and future developments. Above-average market prices mean high margins and often attract new suppliers into the market. Low market prices, on the other hand, mean low margins and lead to a crowding out of non-marketable suppliers. The market price is therefore an important reference point for your own market strategy and provides an important basis for pricing.

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